Iran Hardliners Ditch Trump Peace Deal to Prepare for All-Out War

Aug 18, 2026 1:00 PM
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  Iran Hardliners Ditch Trump Peace Deal to Prepare for All-Out War
AP Photo/Vahid Salemi

The Iranian regime is reportedly less interested in negotiating a peace deal and is more intent on preparing for a more expansive war.

The Wall Street Journal published a report suggesting that hardliners in the regime wish to dig in their heels and rebuff overtures for peace.

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After President Trump signed a memorandum of understanding with Iran in mid-June, administration officials fanned out to build support for an agreement they hoped would reopen the Strait of Hormuz and start winding down the war.

Iran’s hard-line leaders huddled in Tehran and came up with a different plan, according to Iranian and Arab officials. In their view the pact was likely just an attempt by the U.S. and Israel to take pressure off the global economy and buy time for a bigger attack down the road. Instead of putting faith in talks, they took the past two months to prepare for a bigger fight. 

Their efforts include giving the powerful Islamic Revolutionary Guard Corps more control of the country’s regular army, appointing hardened veterans of the war with Iraq and past internal crackdowns to key posts, expanding domestic counterintelligence operations and ramping up production of missiles and drones. The leadership quickly seized the initiative, attacking ships to tighten Iran’s grip on Hormuz and expanding the battlefield to the Red Sea, which Saudi Arabia has used to get around Iran’s chokehold on the Persian Gulf.”

“Arab intelligence officials have picked up evidence—including communications between Iran and militia allies in countries such as Yemen and Iraq—of a strategic shift inside the country’s hard-line leadership to get their forces ready to widen the war and raise the costs for the U.S., officials familiar with the findings say. Alarming weaker Gulf countries like Kuwait, Iran’s leaders are increasingly talking about offensive operations on enemy territory.

Their overriding goal is to inflict enough pain to ensure the kind of attacks Iran has endured with the 12-day war last year and the continuing conflict aren’t repeated.

“There is also a widespread view in Iran that the main war has not yet begun,” said Mohammad Hassan Sangtarash, a Tehran-based defense analyst close to the Iranian government. “What we have seen so far is increasingly interpreted through the lens of ‘salami-slicing’ tactics—limited, incremental escalation designed to weaken capabilities before a larger confrontation.””

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Iran is consolidating power under the Islamic Revolutionary Guard Corps (IRGC), which has become the de facto government after the death of Supreme Leader Ayatollah Ali Khamenei. The military has been elevating hardliners, boosting intelligence efforts, and focusing on manufacturing missiles and drones.

The regime is also coordinating its regional proxies while expanding its presence in the Red Sea. 

Arab intelligence found that the regime’s broader strategy is to expand the scope of the conflict to raise costs for the U.S. and its allies.

This comes amid an ongoing conflict over control of the Strait of Hormuz. Iranian forces have opened fire on several commercial vessels traveling through the waterway.

"Until the United States fulfills its commitments under the agreement, including lifting the blockade, releasing frozen assets, lifting oil sanctions, ending threats and military operations on all fronts, and implementing the other conditions to which it committed, the Strait of Hormuz will not reopen,” said Iranian parliamentary speaker Mohammad Bagher.

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Meanwhile, President Donald Trump in a post on Truth Social affirmed that “There are no talks or conversations going on, or scheduled, with the Islamic Republic of Iran” and that “‘The Naval Blockade remains in full force and effect.”

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